EURUSD

 

The pair had a volatile week around the shocking US election results and eventually closed lower. Discussion by Draghi, inflation, and GDP data stands. Donald Trump is the 45th president of the US. The decision initially forced the dollar lower, allowing the pair to break resistance levels, but the move seemed to lack real justification, driving the pair around 400 pips to the downwards. Poor data from Germany played a minor role in weighing on the euro. The dollar is on a roll and the euro is one of its weakest emerge. Mediocre GDP and inflation data as well as cloudy words from Draghi, could force the pair even lower. EURUSD this week remains BEARISH.

GBPUSD

 

The pair enjoyed its best week since February, as the pair moved 300 points. GBPUSD finished just above the 1.25 level. There are 8 key events on the schedule this week. The BoE revised upwards its expectation for economic growth, essentially acknowledging that its previous forecasts of Brexit were distant too pessimistic. The BoE also held interest rates at 0.25 percent, helping fuel the pound’s flow. US Non-Farm Payrolls were positive and wage growth improving to 0.3 percent, above the forecast of 0.2 percent. The Fed refrained from raising rates earlier week, but the policy statement was little bit hawkish, as the Fed gave the economy a strong report card.

 

The pair unlocked the week at 1.2485 levels and reached a low of 1.2336 levels, as support held at 1.2272 levels. After that it’s reversed directions and mounted sharply, reaching a high of 1.2674 levels. The pair ended the week at 1.2579 levels. The US economy sustains to move in the right direction, buoyed a very solid labor market. The Fed is anticipated to raise rates next month, which is bullish for the dollar. At the mean time, the UK economy has handled post-Brexit better than forecast, and the BoE might be adept to avoid an additional rate cut if the economy stays steady. GBPUSD this week remains NEUTRAL.

 

AUDUSD

The pair reversed directions and lost 130 points previous week, as the pair finished at 0.7539 levels. This week’s significant news is the RBA minutes & Employment Change. It was a boisterous week in the markets, after Donald Trump’s stunning election win. The Australian dollar, a risk currency, took it on the jaw as the US dollar placed broad gains. There was no major Australian schedule previous week.

 

The pair unlocked the week at 0.7677 levels and mounted to a high of 0.7778 levels. It was all downhill from there, as the pair fell to a low of 0.7525 levels, as support held firm at 0.7513 levels. The pair ended the week at 0.7539 levels. The US dollar posted deep gains after the Trump shocker and might constant to rack up goals against the Aussie. At the mean time, a strong Australian employment report might blunt gains by the greenback. AUDUSD this week remains BEARISH.

 

USDJPY

 

The pair placed solid gains earlier week, as the pair mounted 230 points. The pair finished at 106.49 levels, nearly 14-week highs. There are only 2 events this week on the calendar, by Preliminary GDP. Donald Trump’s shocking election win sent the yen on a roller-coaster ride, as the dollar fell but rebounded with solid gains. In Japan, the current account surplus fell sharply; missing expectations. It was an uncertain week for USDJPY. 

 

The pair unlocked the week at 104.15 levels and slid to a low of 101.16 levels, as support held firm at 99.95 levels. After that reversed its directions and mounted to a high of 106.95 levels. The pair ended the week at 106.49 levels. USDJPY this week remains BULLISH.